27 C.F.R. Subpart D—Special Tax Stamps
Title 27 - Alcohol, Tobacco Products and Firearms
(a) Except as otherwise provided in paragraph (b) of this section, each manufacturer of nonbeverage products, upon filing a properly executed return on TTB Form 5630.5, together with the proper tax payment in the applicable full amount due, shall be issued a special tax stamp designated “Manufacturer of Nonbeverage Products.” This special tax stamp shall not be sold or otherwise transferred to another person (except as provided in §§17.71 and 17.72). If the Form 5630.5 submitted with the tax payment covers multiple locations, the taxpayer shall be issued one appropriately designated stamp for each location listed in the attachment to Form 5630.5 required by §17.32(b)(2), but showing, as to name and address, only the name of the taxpayer and the address of the taxpayer's principal place of business (or principal office in the case of a corporate taxpayer). (b) During the suspension period described in §17.21(b) when registration is required but no tax is due, a special tax stamp will not be issued. [T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62241, Oct. 31, 2005] On receipt of the special tax stamps, the taxpayer shall verify that a stamp has been obtained for each location listed on the retained copy of the attachment to TTB Form 5630.5 required by §17.32(b)(2). The taxpayer shall designate one stamp for each location and shall type on it the trade name (if different from the name in which the stamp was issued) and address of the business conducted at the location for which the stamp is designated. The taxpayer shall then forward each stamp to the place of business designated on the stamp. (a) Single location. On receipt of a special tax stamp, the taxpayer shall examine it to ensure that the name and address are correctly stated. If an error has been made, the taxpayer shall return the stamp to TTB at the address shown thereon, with a statement showing the nature of the error and setting forth the proper name or address. On receipt of the stamp and statement, the data shall be compared with that on TTB Form 5630.5, and if an error on the part of TTB has been made, the stamp shall be corrected and returned to the taxpayer. If the Form 5630.5 agrees with the data on the stamp, the taxpayer shall be required to file a new Form 5630.5, designated “Amended Return,” disclosing the proper name and address. (b) Multiple locations. If an error is discovered on a special tax stamp obtained under the provisions of §17.32(b), relating to multiple locations, and if the error concerns any of the information contained in the attachment to Form 5630.5, the taxpayer shall return the stamp, with a statement showing the nature of the error and the correct data, to his or her principal office. The data on the stamp shall then be compared with the taxpayer's copy of the attachment to Form 5630.5, retained at the principal office. If the error is in the name and address and was made by the taxpayer, the taxpayer shall correct the stamp and return it to the designated place of business. If the error was made in the attachment to Form 5630.5, the taxpayer shall file with TTB an amended Form 5630.5 and an amended attachment with a statement showing the error. If a special tax stamp is lost or accidentally destroyed, the taxpayer shall immediately notify the appropriate TTB officer. On receipt of this notification, the appropriate TTB officer shall issue to the taxpayer a “Certificate in Lieu of Lost or Destroyed Special Tax Stamp.” The taxpayer shall keep the certificate available for inspection in the same manner as prescribed for a special tax stamp in §17.55. Taxpayers shall keep their special tax stamps at the place of business covered thereby for the period specified in §17.170, and shall make them available for inspection by any appropriate TTB officer during business hours. (Title II, sec. 201, Pub. L. 85–859, 72 Stat. 1348 (26 U.S.C. 5146)) A manufacturer who, during a tax year for which a special tax return has been filed with payment of any tax due, moves its place of manufacture to a place other than that specified on the return, shall register the change, by executing a new return on Form 5630.5, designated as “Amended Return.” This Amended Return shall set forth the time of the move and the address of the new location. If a special tax stamp was issued for the former location, the taxpayer shall also submit the special tax stamp for endorsement of the change in location. In general, the taxpayer must submit the new return and the special tax stamp within 90 days after the move to the new premises. However, if the move occurs during the suspension period described in §17.21(b) when no tax was due and no special tax stamp was issued, the taxpayer may submit the new return alone without penalty at any time prior to completion of final action on the first claim covering use of spirits at the new premises, or within 90 days of the move, whichever is later. (Title II, sec. 201, Pub. L. 85–859, 72 Stat. 1374 (26 U.S.C. 5143)) [T.D. TTB–36, 70 FR 62241, Oct. 31, 2005] Except in the case of claims covering spirits used during the suspension period described in §17.21(b) when the special tax rate is zero, a manufacturer who fails to register a change of location with TTB, as required by §17.61, shall pay a new special tax for the new location if a claim for drawback is filed on distilled spirits used at the new location during the tax year for which the original special tax was paid. [T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005] The provisions of §§17.61 and 17.62 apply to certificates issued in lieu of lost or destroyed special tax stamps.
Title 27: Alcohol, Tobacco and Firearms
PART 17—DRAWBACK ON TAXPAID DISTILLED SPIRITS USED IN MANUFACTURING NONBEVERAGE PRODUCTS
Subpart D—Special Tax Stamps
§ 17.51 Issuance of stamps.
§ 17.52 Distribution of stamps for multiple locations.
§ 17.53 Correction of errors on stamps.
§ 17.54 Lost or destroyed stamps.
§ 17.55 Retention of special tax stamps.
Change in Location
§ 17.61 General.
§ 17.62 Failure to register.
§ 17.63 Certificates in lieu of lost stamps.
Change in Control
§ 17.71 General.
(a) Subject to paragraph (b) of this section, certain persons may qualify for succession to the same privileges granted by law to the taxpayer, to cover the remainder of the tax year for which the special tax was paid, or for which registration was made during the suspension period described in §17.21(b). Those who may qualify are specified in §17.72. To secure these privileges, the successor or successors shall file with TTB, within 90 days after the date on which the successor or successors assume control, a return on TTB Form 5630.5, showing the basis of the succession.
(b) With respect to spirits used during the suspension period described in §17.21(b), the successor or successors must file the return prior to completion of final action on the claim(s) covering such spirits, or within 90 days of the change in control, whichever is later.
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.72 Right of succession.
Under the conditions set out in §17.71, persons listed below have the right of succession:
(a) The surviving spouse or child, or executor, administrator, or other legal representative of a taxpayer.
(b) A husband or wife succeeding to the business of his or her living spouse.
(c) A receiver or trustee in bankruptcy, or an assignee for the benefit of creditors.
(d) The members of a partnership remaining after the death or withdrawal of a general partner.
§ 17.73 Failure to register.
Except in the case of claims covering spirits used during the suspension period described in §17.21(b) when the special tax rate is zero, a person eligible for succession to the privileges of a taxpayer, in accordance with §§17.71 and 17.72, who fails to register the succession with TTB, as required by §17.71, shall pay a new special tax if a claim for drawback is filed on distilled spirits used by the successor during the tax year for which the original special tax was paid.
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.74 Certificates in lieu of lost stamps.
The provisions of §§17.71–73 apply to certificates issued in lieu of lost or destroyed special tax stamps.
§ 17.75 Formation of partnership or corporation.
If one or more persons who have filed a special tax return and paid any tax due form a partnership or corporation, as a separate legal entity, to take over the business of manufacturing nonbeverage products, the new firm or corporation shall file a new special tax return and pay a new special tax in order to be eligible to receive drawback. In the case of claims covering spirits used during the suspension period described in §17.21(b), the rate of special tax is zero.
[T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.76 Addition or withdrawal of partners.
(a) General partners. When a business formed as a partnership, subject to the filing of a special tax return, admits one or more new general partners, the new partnership shall file a new special tax return and pay a new special tax in order to be eligible to receive drawback (in the case of claims covering spirits used during the suspension period described in §17.21(b), the rate of special tax is zero). Withdrawal of general partners is covered by §17.72(d).
(b) Limited partners. Changes in the membership of a limited partnership requiring amendment of the certificate but not dissolution of the partnership are not changes that incur liability to additional special tax or that require the filing of a new special tax return.
[T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.77 Reincorporation.
When a new corporation is formed to take over and conduct the business of one or more corporations that have filed a special tax return and paid any tax due, the new corporation must file a new special tax return, pay special tax, and obtain a special tax stamp in its own name. However, in the case of spirits used during the suspension period described in §17.21(b) when no tax is due and no stamp is issued, only the filing of a new special tax return is required.
[T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
Change in Name or Style
§ 17.81 General.
A person who filed a special tax return and paid any tax due is not required to file a new special tax return or pay a new special tax by reason of a mere change in the trade name or style under which the business is conducted, nor by reason of a change in management which involves no change in the proprietorship of the business.
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.82 Change in capital stock.
A new special tax return and tax payment are not required by reason of a change of name or increase in the capital stock of a corporation, if the laws of the State of incorporation provide for such changes without creating a new corporation.
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
§ 17.83 Sale of stock.
A new special tax return and tax payment are not required by reason of the sale or transfer of all or a controlling interest in the capital stock of a corporation.
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. TTB–36, 70 FR 62242, Oct. 31, 2005]
Refund of Special Tax
§ 17.91 Absence of liability, refund of special tax.
The special tax paid may be refunded if it is established that the taxpayer did not file a claim for drawback for the period covered by the special tax stamp. If a claim for drawback is filed, the special tax may be refunded if no drawback is paid or allowed for the period covered by the stamp.
§ 17.92 Filing of refund claim.
Claim for refund of special tax must be filed on TTB Form 2635 (5620.8), Claim—Alcohol, Tobacco and Firearms Taxes. The claim must set forth in detail sufficient reasons and supporting facts of the exact basis of the claim. The special tax stamp shall be attached to the claim.
(68A Stat. 791 (26 U.S.C. 6402))
[T.D. ATF–379, 61 FR 31412, June 20, 1996, as amended by T.D. ATF–436, 66 FR 5471, Jan. 19, 2001]
§ 17.93 Time limit for filing refund claim.
A claim for refund of special tax shall not be allowed unless filed within three years after the payment of the tax.
(68A Stat. 808 (26 U.S.C. 6511))
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